In the latest round up of people moves, Meta and Microsoft both announce plans to cut their workforces.
Meta announced it will be reducing its workforce by 10%, laying off roughly 8,000 staff – and has paused hiring for thousands of open roles.
This news comes as the tech giant increased spending on AI, rapidly raising its investment to £100bn – equal to roughly the last three years combined.
A Meta spokesperson confirmed the layoffs, but declined to comment further.
A memo, seen by Bloomberg, Janelle Gale, chief people officer, didn’t mention explicitly mention AI but said the cuts would allow the company to “offset the other investments we’re making”.
This follows an industry trend of mass layoffs due, in part, to AI spending increases. The last few years have seen Alphabet, Amazon, Meta, and Cisco all cut their staff numbers.
Microsoft to cut US workforce
Microsoft has also announced plans to cut its workforce, with an offer for voluntary retirement for roughly 7% of its US workforce, which currently sits at around 125,000.
Similar to Meta, the redundancies comes amid huge increase in AI spending – Microsoft has committed to $140bn in capital expenditure in this fiscal year.
The voluntary redundancy package will be offered to long-serving employees whose years of service plus their age equal 70 or more. This will be applicable to around 8,000 workers.
“Many of these employees have spent years, and in some cases, decades, shaping Microsoft into what it is today,” Amy Coleman, Microsoft’s chief people officer, wrote in a memo seen by the FT.
She said the offer was intended to give these employees “the choice to take that next step . . . with generous company support”.
Other notable moves
Apple: John Ternus as new CEO
Apple’s chief executive Tim Cook announced he will be the new executive chair of the tech giant’s board of directors.
John Ternus, currently senior vice president of hardware engineering, will become Apple’s next chief executive officer from 1 September 2026.
“John Ternus has the mind of an engineer, the soul of an innovator, and the heart to lead with integrity and with honour,” said Cook.
“He is a visionary whose contributions to Apple over 25 years are already too numerous to count, and he is without question the right person to lead Apple into the future. I could not be more confident in his abilities and his character, and I look forward to working closely with him on this transition and in my new role as executive chairman.”
Netflix: Co-founder Reed Hastings exits
Reed Hastings, Netflix co-founder, announced he will be leaving the company from his position as chair of the board.
Hastings stepped down after a 24 year tenure as co-chief executive officer in 2023, but continued to play a key role on the board. Now, he plans to focus on philanthropy and other interests.
This comes at a pivotal time for the media company, with shares down roughly 9% after the company pulled out of a huge deal to acquire Warner Bros.
OpenX: Lior Charka as VP of product
Supply-side platform OpenX has hired Lior Charka as vice president of product. He brings over 15 years of digital advertising experience, holding key roles at Teads and Outbrain.
In addition, OpenX has promoted Joseph Worswick to senior vice president of global partnerships, and Erika Loberg to vice president of connected TV (CTV) and curation.
Razorfish: Renee Borkowski as EVP of transformation
Renee Borkowski has joined Razorfish as executive vice president of transformation. She brings extensive experience in helping clients reach huge success in generative AI, agentic systems, and more.
“Renee is no stranger to rewriting what’s possible,” said Dani Mariano, chief executive of Razorfish. “We’re fiercely committed to shaping the digital future, and with Renee back in the fold, we’re doubling down on that promise.”
